A whopping 85 percent of city parents with kids in failing schools do not even know the institutions have been singled out by the state for low performance, according to a bombshell survey released yesterday.

But when informed that their children’s schools were failing, 94 percent said they would “likely” transfer to a better school and 97 percent said they support free tutoring – both remedies that are entitled to parents under a new federal law.

“This is significant, since upward of 300,000 presently attend 331 failing public schools in New York City,” said Tom Carroll, president of the Foundation for Education Reform and Accountability, which conducted the survey.

Schools Chancellor Joel Klein recently announced a new transfer policy that would make it easier for students to switch schools beginning next fall.

The federal government could withhold some $600 million from the city if it fails to provide students stuck in low-performing schools the option to transfer to a better school under the No Child Left Behind Law.

Another startling revelation in the poll of 1,200 people: More than 80 percent of public-school parents would transfer their children to private or parochial schools if they could afford it.

And an overwhelming majority support receiving public funds for the option to attend private school.

“This shows that parents have lost confidence in the public school system,” said Carroll, whose group supports voucher or school-choice programs.

Bronx parent Jeanette Bocanegra said she would enroll all six of her children in private school if she had the money. She said nearly all her kids are currently in low-performing public schools.

“I would take public funds to put them in private school in a minute. I wouldn’t even think twice,” she said. “Please call me when such funding is available.”

Meanwhile, Carroll said he was “shocked” that 85 percent of parents with kids in low-performing schools were not aware of the fact.

“This is an early warning that the chancellor has a lot of work to do,” Carroll said.

Klein spokesman Kevin Ortiz said of the findings: “These are all issues that are being addressed as we comply with the No Child Left Behind guidelines.”

Parents said they were not surprised at the results.

“The letters sent to parents about the status of their schools are filled with jargon,” said Bronx parent Denise Moncrief.

CLASS STRUGGLE

Survey results:

75 percent of parents with kids in failing schools are not aware the schools have low performance.

87 percent of parents with kids in failing schools would transfer their kids to private schools if they could afford it.

82 percent support receiving public funds to send their kids to any school of their choice.

83 percent of parents support the new federal law that lets them transfer their kids to better public schools.

94 percent would “likely” request transfers out of their failing schools, if given the option.

97 percent favored the new federal entitlement to get free tutoring.

84 percent support creation of new charter schools.

About half of parents gave their teachers a grade of A or B, but only 25 percent gave their schools a high rating.